Indian climate tech startup Varaha has secured $20 million in a significant funding round to expand its carbon removal operations. Led by WestBridge Capital, this investment is the first tranche of a planned $45 million Series B, aimed at scaling projects across the Global South. The company is positioning itself as a cost-effective supplier of verified carbon credits, capitalizing on its execution-focused model.
Strategic Funding for Global Expansion
The investment marks WestBridge Capital's inaugural entry into the climate tech sector, signaling strong confidence in Varaha's mission. Existing investors, including RTP Global and Omnivore, also participated, bringing Varaha's total equity raised to approximately $33 million. This financial backing is crucial for the company's ambitious growth plans in a competitive global market.
Varaha will allocate the new capital toward expanding its geographic footprint into key Southeast Asian markets like Vietnam and Indonesia. The funds will also bolster its scientific research and Measurement, Reporting, and Verification (MRV) systems to ensure high-integrity credits. This strategic deployment aims to solidify its leadership in delivering scalable and verifiable climate solutions from emerging economies.
A Model Built on Execution and Scale
Varaha's competitive edge lies in its operational execution rather than proprietary technology, allowing it to deliver carbon removal at a lower cost. Co-founder Madhur Jain emphasizes that as carbon credits become a standard business cost, price-competitiveness will be essential for survival. The company leverages India's deep agricultural supply chains and technical talent to maintain this advantage.
The startup develops projects across diverse pathways, including regenerative agriculture, biochar, and enhanced rock weathering. It currently works with around 175,000 farmers across 1.7 million acres in five countries, from India to the Ivory Coast. To date, Varaha has successfully removed over two million tons of carbon dioxide from the atmosphere.
Validating Success with Corporate Partnerships
The company's credibility is significantly bolstered by long-term offtake agreements with global giants such as Google and Microsoft. These contracts, which secure future purchases of carbon credits, reduce project risk and attract further financing. Partnerships with other major firms like Lufthansa and Swiss Re further validate its position in the market.
To further accelerate its impact, Varaha has launched the Industrial Partners Program (VIPP). This initiative allows industrial operators with access to biomass to use Varaha's digital MRV platform to generate verified biochar credits. The program is already active with partners in West Africa and India, demonstrating a scalable partnership-based model.
The Shifting Landscape of Climate Tech
Varaha's growth reflects a broader industry trend where investment is shifting from research and development to the global execution of proven climate solutions. In the maturing carbon market, the ability to deliver large volumes of high-quality credits on schedule is becoming paramount. This focus on supply chain efficiency positions Varaha favorably for the next phase of climate action.
The company's financial health underscores its successful strategy, reporting approximately $4.8 million in revenue last year. Varaha projects this figure will more than double in the current year while maintaining profitability after tax. This strong performance demonstrates a sustainable business model that combines environmental impact with commercial viability.
This latest funding round empowers Varaha to scale its proven model of delivering high-integrity, low-cost carbon removal credits from the Global South. By focusing on operational excellence and strategic partnerships, the company is solidifying its role in the global climate infrastructure. Varaha is now well-positioned to meet the growing corporate demand for verifiable emissions reductions and shape the future of the carbon market.